All Forum Posts by: Julie Chai

Hi Steve, if you're including those utilities in tenant's monthly rent, then your name should be on the utility accounts.  If you're not, tenants need to put it under their names and pay it themselves, and it should start with the same date they're moving in. 

@Kevin Luttrell wow that is really helpful Kevin! Thanks so much! Although, I'm not too familiar with the STR taxes.. Can you explain more about that? Are there special taxes you have to pay when having an STR? It's not counted as "passive income" like LTR?

Thanks Valerie!  Just what I needed!

Hi all, I've been reading everyone's answers and see that no one here uses a third party that handles all the bookings for you. I'm in the closing stages of a multifamily and plan on using one of the units as a STR. I was planning on using a third party called, Evolve, to help me book my STR. They help with taking professional photos for you, book on top sites (AirBnB, VRBO, booking.com, google, and their own evolve.com), help get the highest rate for the stay, guest support, and offer liability coverage in case something happens. The reason I plan to use them is because I'm afraid I won't be booked enough or won't know what rate to charge and customer service (because I'm an out of state investor). I'm also afraid of getting poor ratings if I cannot give customers support on a timely basis, which will effect my bookings. Also, they are "risk-free guarantee" warranty, so that if I'm not happy with their service in the first 6 months, they will return all their services fees back to me.

I wanted to get everyone's opinion and advice about handling STR this way. I also see that AirBnB and VRBO charge a percenage... so should I use a third party for booking or just try to do it myself?

Hi Ben,

I have included the utilities in my rent cost for the tenants because there are only two gas and two water meters, so I don't have to worry about. So you do have a separate PM taking care of your STR and another for your LTR? I was just wondering if there was anyone else that rents out their multi family property this way and if it will offend my LTR PM....

I'm about to close on a 4 unit multi family in Houston, TX 77016.  I'm focused mainly on LTR but I just had an idea to rent out one of the units as an AirBnB and the remaining 3 units as LTR.  I just asked my future PM if they'll be willing to manage it that way but "They're not set up for that".  So I wanted to ask if anyone else has done it this way?  Are there any PM in Houston that will be willing to manage it that way? Should I hire a separate PM to manage the AirBnB unit?  Thanks!

You can apply for a DSCR loan. It's higher interest rate but they don't look at your debt to income. As long as you can rent it out more than you're paying in mortgage, they'll help you out. I was in the similar situation and now I'm closing on a multi family in Houston, TX. My lender is awesome and very helpful. Let me know if you want his contact info.

Hey Tony, I'm actually getting a DSCR loan right now and my lender is from NY. It's 15% down on SFH and 25% down on Multi Fam and currently it's at 6.8% rate. He's been really helpful and helped me cash out refinance my house too. Everything done in super quick timing.

I'm assuming nearby good schools,  shopping areas,  business centers are economic factors to consider the appreciation increase? Is relying on a local real estate agent to educate me on the area and give me more insight to where a good investment would be, a big no no?

How is investing in Temple, TX?

I own two properties, one is my primary and the other is a rental. Currently, my sister is my tenant and underpaying the market value but it was in good conscious to help a family member during the covid pandemic and I can trust her to take care of the place. Basically, I'm breaking even or maybe even losing a few hundred a year but it has great equity in it. Being that the real estate market is increasing, I want to purchase a third property before the market gets too crazy and trying to beat inflation. I am having a hard time getting a loan or even refinancing because my 9-5 income is too low, BUT I have a good amount saved up in my investment funds. My two properties are in California and I'm considering investing in a SFH in Houston, TX, for my third rental property.

Since I can't get a loan or refinance, is it a bad idea to put all my saved hard money into a SFH and buy all cash? My goal is not really for cash flow but to build some appreciation out of it while someone else is renting and paying the mortgage for me.

Also, is Houston, TX a great city to start investing in out of state?  Any other suggestions are greatly appreciated.

Thanks BP team!